By Isah Hussein
A non-profit organization, People Expertise and Excellence Foundation(PEEF) has called on government to speed up the steel sector development in Nigeria and ensure zero corruption in procurement management.
The charge was made on Thursday in Abuja, at the 7th PEEF Annual Conference (PAC) with the theme:”Accelerating Steel Sector Development in Nigeria & Achieving Zero Corruption in Procurement Management”.
The group, along with other stakeholders at the conference emphasized that, contrary to the general beliefs, the Ajaokuta Steel Plant is not obsolete as tagged by persons in some quarters. They decried the fact that out of 33 Steel Plants established worldwide at the time, it is only Ajaokuta Steel Plant that is not functional. Hence, call on the Federal Government to declare a state of emergency on the country’s steel sector
In his address, the Board of Trustee (BoT), Chairman, People Expertise and Excellent Foundation (PEEF) Engr.Abdullar Bukar called for the revival and expansion of the Ajaokuta Steel project, adding that it will engender economic prosperity for the country.
He underscored the need for a corruption-free environment in the management of the nation’s investment in the steel sector.
“Let us develop our country”, he stressed, “so that we process what we have and also sell finished products. Switzerland does not produce a single raw cocoa but they are the one who make the most money out of cocoa production. They take raw materials that we produce, add value to it, they sell it at a price and we also go and buy.
“It seemed as if we do not value what we have-that is, capable of improving the quality of life of our own people. By implication, we are stagnating because our income is dropping while our population continue growing. So, we now have double problems.
“On one hand, our population is exploding and on another, we are unable to economically sustain ourselves”.
He declared that the steel sector has the potential to generate $7bn for the country if properly harnessed. He therefore called for not just the revival of the Ajaokuta Steel but for its expansion.”Nigeria is exporting cement, it is also possible to export steel, therefore Ajaokuta should not only be revived but should be expanded.
“The most important part of it, is that we also need a corruption free environment to ensure efficient management of our investment on steel,” he said.
The keynote speaker at the conference, Honorable Minister of Steel Development, Prince Audu Abubakar, represented by the Director of Steel, A. T. Umar noted that the privatization of the steel sector in Nigeria has over the years not yielded the desired result.
He said the Minister of Steel Development is making efforts to collaborate with financial agencies to revive the Ajaokuta Steel.
The funding of the Steel Companies in Nigeria he continues, became challenging which led to the privatization of the steel companies but, most of the companies that were privatized could not take off are these were the fallouts of privatization.
“We are at a stage where we are now rethinking whether to reverse the privatization of the steel sector in the country.
“During the President Buhari’s administration a lot of fund were invested on mining but the steel sector was neglected.
“As a government we need to produce steel from raw materials, this will bring economic prosperity to the nation. What the Minister is doing is to think outside the box in developing the Ajaokuta Steel.
“We want to collaborate with agencies, including financial agencies to see what we can do. We are working to develop the necessary manpower to man the sector,” he said.
Also speaking, the former Managing Director, Delta Steel represented by Engr. Anthony Madagua stressed that the Nigerian Government is ignorant of the value of steel.
“Steel is power”. “Steel is technology. I discovered that the Nigerian government does not really know what steel is all about. I have seen what steel has done in India. Infact, India has more steel plants and is still establishing more steel plants. Ajaokuta steel can be turned around.
“What we experienced in Delta Steel Should not be allowed to happen to Ajaokuta. I have written to so many times to Presidents, even when President Jonathan was there and Buhari but they were not listening.
“Corruption is a major issue in the country and we are believing that this have to be addressed appropriately. With regards to what has happened in the past in the steel industry, I believe if the procurement have been very thorough may be we would have been able to get proper result especially in the privatization of the steel companies.
“If we are to go by the result from the privatized companies, if we are to go by the results emanating from their sales, privatization is supposed to bring in efficiency with improved performance but if you privatize a company to a group or an individual that does not have the capacity to run it technically or financially then something is wrong with the procurement process. So these are some the fallouts of improper procurements process which can be liken to corruption. I believe this have to be addressed if we must move forward in terms of curbing public procurement corruption. ,,